Approved Code No. 244 — Supplement No. 4. Registry No. 1616—2—22 NATIONAL RECOVERY ADMINISTRATION SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE CEMENT GUN CONTRACTORS INDUSTRY (A Division of the Construction Industry) AS APPROVED ON MARCH 21, 1934 WE DO OUR PART UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON: 1934 For sale by the Superintendent of Documents, Washington, D.C. ....--. Price 5 cents ThiB publication is for sale by tbe Superintendent of Documents, Government Printing OflSce, Washington, D.C., and by district oflSces of the Bureau of Foreign and Domestic Commerce. DISTRICT OFFICES OF THE DEPARTMENT OF COMMERCE Atlanta, Ga. : 504 Post Office Building. Birmingham, Ala. : 257 Federal Building. Boston, Mass. : 1801 Customhouse. Buffalo, N.Y. : Chamber of Commerce Building. Charleston, S.C. : Chamber of Commerce Building. Chicago, 111. : Suite 1706, 201 North Wells Street. Cleveland, Ohio : Chamber of Commerce. Dallas, Tex. : Chamber of Commerce Building. 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Approved Code No. 244 — Supplement No. 4 SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE CEMENT GUN CONTRACTORS INDUSTRY As Approved on March 21, 1934 ORDER Supplementary Code of Fair Competition for the Cement Gun Contractors Industry A division of the construction industry An application having been duly made pursuant to and in full compliance wath the provisions of Title I of the National Industrial Recovery Act, approv^ed June 16, 1933, and pursuant to and in full compliance with the provisions of Section 5 of Article VIII of Chapter I of the Code of Fair Competition for the Construction Industry, ap- proved January 31, 1934, for approval of Chapter V of said Code, which Chapter V is applicable to the Cement Gun Contractors Divi- sion of the Construction Industry, and hearings having been held thereon and the annexed report on said Code, containing findings with respect thereto, having been made and directed to the President: NOW, THEREFORE, on behalf of the President of the United States, I, Hugh S. Johnson, Administrator for Industrial Recovery, pursuant to authority vested in me by Executive Orders of the Presi- dent, including Executive Order No. 6543- A, dated December 30, 1933, and otherwise; do hereby incorporate by reference said annexed report and do find that said Chapter complies in aU respects with the pertinent provisions and will promote the policy and purposes of said Title of said Act; and do hereby order that said Chapter V be and it is hereby approved and that the previous approval of said Code of Fair Competition for the Construction Industry is hereby modified to include an approval of said Code in its entirety as supplemented by said Chapter V. Hugh S. Johnson, Administrator for Industrial Recovery. Approval recommended: Geo. L. Berry, Division Administrator. Washington, D.C, March 21, 1934. 47769° 425—110 34 (1) REPORT TO THE PRESIDENT The President, The White House. Sir: This is a report on Chapter V of the Code of Fair Competition for the Construction Industry, which Chapter is a revision, after Pubhc Hearings conducted in Washington on September 11, 1933, and on November 20, 1933, of a Code of Fair Competition for Cement Gun Contractors. This Chapter, appHcable specifically to the Cement Gun Contrac- tors Division of the Construction Industry, supplements the basic Code of Fair Competition for the Construction Industry, described as Chapter I of such Code, which was approved by you on January 31, 1934. The hearings were conducted in accordance with the pro- visions of the National Industrial Recovery Act. THE INDUSTRY The Cement Gun Contractors are a component and an important part of the Construction Industry. The Industry is a special one, doing cement work by a pneumatic method. Most of the employees require special training. It is an important item in the construction of and repairs to architectural and engineering structures, such as buildings, bridges, dams and other types of construction. PROVISIONS FOR HOURS AND WAGES The provisions for hours and wages are set out in Chapter I of the Construction Code, which was approved by you on January 31, 1934, and the same provisions, with certain additional exceptions beneficial to employees, are applicable, under this Chapter, to the Cement Gun Contractors Division. ECONOMIC EFFECT OF THE CODE The volume of work performed ranged from $7,000,000 in 1928 to $10,000,000 in 1930. The number of employees ranged from 2,000 in 1928 to 3,000 in 1931. Volume of work performed in 1931 and 1932 was $7,000,000 and $6,000,000 respectively. Employees for these years numbered 3,000 and 2,000 respectively. It is safe to say, that with the prohibition of unfair trade practices, and the establish- ment of minimum rates of pay and maximum hours of work that more wholesome conditions will take form in this Industry and that employers, employees, and a part of the public will be benefited. From the decrease in working hours and the establishment of a minimum rate of pay, it is expected that employment will be increased at least twenty-five (25) percent and that the purchasing power of the employees will be correspondingly increased. (2) FINDINGS The Deputy Administrator in his final report to me on Chapter V of the Code of Fair Competition for the Construction Industry as modified by the addition thereto of said Chapter V, having found as herein set forth and oji the basis of all the proceedings in this matter: I find that: (a) Said Chapter V and said Code of Fair Competition for the Con- struction Industry, as modified by the addition thereto of said Chapter V, are well designed to promote the policies and purposes of Title I of the National Industrial Recovery Act, including removal of obstruc- tions to the free flow of interstate and foreign commerce which tend to diminish the amount thereof and will provide for the general welfare by promoting the organization of Industry for the purpose of cooper- ative action among the trade groups, by inducing and maintaining united action of labor and management under adequate governmental sanctions and supervision, by eliminating unfair competitive practices, by promoting the fullest possible utilization of the present productive capacity of industries, by avoiding undue restriction of production (except as may be temporarily required), by increasing the consump- tion of industrial and agricultural products through increasing pur- chasing power, by reducing and relieving unemployment, by unproving standards of labor, and by otherwise rehabilitating industry. (b) Said Industry normally employs not more than 50,000 employees, and is not classified by me as a major industry. (c) Said Chapter V and the Code of Fair Competition for the Con- struction Industry as modified by the addition thereto of said Chapter V, as approved, comply in all respects with the pertinent provisions of said Title of said Act, including without limitation sub-section (a) of Section 3, sub-section (a) of Section 7, and sub-section (b) of Section 10 thereof ; and that the applicant association is an industrial association truly representative of the aforesaid Industry ; and that said associa- tion imposes no inequitable restrictions on admission to membership therein. (d) Said Chapter V and the Code of Fair Competition for the Con- struction Industry as modified by the addition thereto of said Chapter V, are not designed to and wiU not permit monopolies or monopolistic practices. (e) Said Chapter V and the Code of Fair Competition for the Con- struction Industry as modified by the addition thereto of said Chapter V, are not designed to and wiU not ehminate or oppress small enter- prises and will not operate to discriminate against them. (f) Those engaged in other steps of the economic process have not been deprived of the right to be heard prior to approval of said Chapter V and of said Code as modified by the addition thereto of this Chapter V thereof. For these reasons, therefore, I have approved said Chapter V of the Code of Fair Competition of the Construction Industry. Respectfully, Hugh S. Johnson, Administrator. March 21, 1934. Chapter V SUPPLEMENTARY CODE OF FAIR COMPETITION FOR THE CEMENT GUN CONTRACTORS INDUSTRY A DIVISION OF THE CONSTRUCTION INDUSTRY Article I — Reference to Provisions of Chapter I All provisions of Chapter I of this Code, except as herein provided, apply within this division with the same force and effect as is set forth herein in full. The provisions of Sections 7 (a) and 10 (b) of the Act which are set forth in Sections 1 and 6 respectively of Article VIII, Chapter I of this Code, are specifically incorporated herein by reference with the same force and effect as if set forth herein in full. Article II — Definitions Section 1. The term "Cement Gun Contracting Division" or "this division" as used herein is defined to mean the business of, the directing, superintending, coordinating, or executing work which utilizes the cement gun or similar device to place cementitous mate- rials involving velocity of dry materials and hydration approximately at the point of deposit, and preparatory work incidental thereto, and such branches or subdivisions thereof as may from time to time be included under the provisions of this Chapter with the approval of the President. Section 2. The term "Association" as used herein is defined to mean the "Cement Gun Contractors' Association." Section 3. The term "combination bid" is herein defined as any bid including any work within this division, together with work not witliin tliis division. Article III^ — Administration Section 1. A Divisional Code Authority is hereby constituted to administer tliis Code within tliis division. The Divisional Code Authority shall consist of seven (7) individuals eligible under the provisions of subsection (h) of this section, to be selected as follows: (a) Three (3) individuals shall be appointed from members of the Association by the Board of Directors of the Association to serve for a term of one (1) j^ear. (b) Three (3) individuals shall be initially selected on a fair basis by the Board of Directors of the Association from members of this division who are not members of the Association and who are not responsible thereto, each of the non-members of the Association so selected to be approved by the Administrator before taking ofiice, and each to hold office for a term of one (1) year, or until their respec- tive successors have been selected and approved, by a method of selection satisfactory to, and approved by, the Administrator. (4) (c) The seventh (7th) individual, who shall also be representative of members of tliis division, shall be selected for a term of one (1) year by the six (6) members provided for in paragraphs (a) and (b) of this section, and shall also be approved by the Administrator before taking office. Any successor shall be selected in a similar manner. (d) In the event any vacancy in the membership of the Divisional Code Authority shall occur, excepting that of the member chosen pursuant to paragraph (c) hereof, a special meeting to fill the unex- pired term of such members shall be called. Notice of the time and place of such election shall be sent by registered mail to all members of the Industry entitled to make nominations or to vote at such elec- tion at least forty (40) days in advance of such election. All nomina- tions for any vacancy to be filled shall be submitted not later than twenty (20) days before the day of such election, and immediately upon the time for such nominations being ended, a list of all members nominated for said vacancy shall be sent by the Divisional Code Authority to each member of the Industry entitled to vote at such election. Voting thereat may be in person, by proxy, or by letter ballot. No more than one representative of each member of the Industry entitled to vote shall vote at any election. (e) Each member of the Divisional Code Authority so selected shall have one (1) vote, and the vote of a majority of said members shall prevail in determining the actions of the Divisional Code Authority. (f) The Divisional Code Authority or its authorized representative or representatives may attend meetings of any administrative agency established for any subdivision. (g) The Divisional Code Authority may appoint a trade practice committee which shall meet mth the trade practice committees appointed under such other codes as may be related to the Industry for the purpose of formulating fair trade practices to govern the rela- tionships between employers under this Code and employers under such other codes to the end that such fair trade practices may be proposed to the Administrator as amendments to tliis Chapter and such other Codes. (h) Members of the Industry shall be entitled to participate in, and share the benefits of, the activities of the Divisional Code Authority and to participate in the selection of the members thereof by assenting to and compl3dng with the requirements of this Code and sustaining their reasonable share of the expenses of its adminis- tration. Such reasonable share of the expenses of administration shall be determined by the Code Authority, subject to review by the Administrator, on the basis of volume of business and such other factors as may be deemed equitable. Article IV — Wages and Hours Section 1. The following are exempt from the provisions of Section 2 of Article III of Chapter I of this Code relating to maximum hours: (a) Employees engaged in a professional, executive or supervisory capacity receiving more than thirty-five ($35.00) dollars a week. Employees engaged in a supervisory capacity are defined as those persons who perform no manual labor; (b) Watchmen, who may be permitted to work not in excess of fifty-six (56) hours in any one week and not more than six (6) days in any seven day period. Section 2. No employee shall be permitted to work more than five (5) days in any seven (7) day period. All employees shall be paid at the rate of at least one and one half (Iji) times the normal rate for all time worked on Saturdays, Sundays and legal hoUdays. Section 3. Employees engaged in emergency work involving breakdowns or protection of life or property shall be paid at the over- time rate of at least one and one half (1)^) times the normal rate for all hours worked in excess of the daily or weekly maximum. Section 4. All wages due shall be payable weekly or semimonthly in lawful currency, or by negotiable check therefor payable on demand at par. These wages shall be exempt from any payments therefrom for pensions, insurance or sick benefits other than those voluntarily paid by employees. Employers and their agents shall accept no rebates either directly or indirectly on such wages, or give anything of value or extend favors to any person for the purpose of influencing rates of wages of their employees. Article V — Fair Trade Practice Regulations Section 1. The provisions of this Article (in addition to the provi- sions of Article VII of Chapter I of this Code) are adopted as rules of Fair Trade practice, and any violation of said rules shall constitute an unfair method of competition and a violation of this Code. Section 2. The Divisional Code Authority shall cause to be for- mulated an accounting system and methods of cost finding and estimating capable of use by all members of the industry. After such system and methods have been formulated and approved by the Administrator full details concerning them shall be made available to all members. Thereafter all members shall determine or estimate costs in accordance with the principles of such methods. Section 3. No member of this division shall ofl'er or agree to sell labor, materials, or services below the estimated cost as provided for in Sections 2 and 4 of this Article. Section 4. Until such time as such a uniform system of accounting shall have been determined and approved by the Administrator, estimated cost shall be the sum of the following items of expected cost for the job in question: (a) Labor and supervision at the job site. (b) All materials to be used in the contract. (c) Transportation of equipment and materials. (d) Railroad fare (or equal) and/or hotel expenses, if chargeable to the job. (e) Municipal permits, if any. (f) The cost of pubhc liability and workmen's compensation insur- ance and maintenance and surety bonds. (g) Maintenance, depreciation, repairs and rentals of tools and equipment used on the individual contract in accordance with income tax schedules. (h) Power. (i) Any other direct expense properly apphcable to the individual contract. (j) Allowance of not less than twelve (12) percent of the sum of items (a) to (i) inclusive as above for overhead. Section 5. Every member of this division shall for a period of one (1) year after making a bid, maintain and keep on file his original estimate supporting his bid or contract. Section 6. No member of this division shall be party to the unfair practice of " bid-peddUng " or "bid-shopping" as defined in Chapter I hereof. Section 7. In order to provide a check on the accuracy and fair- ness of estimates, any member of this division submitting a proposal on any job whether competitive or not amounting to two hundred and fifty dollars ($250.00) or more, shaU simultaneously with the submission of his bid, file copies of his proposal or proposals and all revisions thereof, with some depository designated by the Divisional Code Authority, or its authorized representative, and subject to the approval of the Construction Code Authority; the same to be kept sealed and confidential until after the letting of the contract, following which the successful bidder's proposal may be disclosed to all bidders. Section 8. In the case of combination bids, or revisions thereof, the combination bid shall be the aggregate of said separate and distinct bids. Section 9. Each bid, filed in accordance with Sections 7 and 8 of this Article shall be accompanied by a fee of one dollar ($1.00). The Divisional Code Authority shall use funds so received to pay the expenses of depositing such bids and for other proper expenses in the administration of this Code, and shall keep account of the receipts and expenditures, the same to be open to the Administrator or his representatives and subject to his approval. Section 10. Upon request of any bidder a committee, which com- mittee shall have at least one member, who is a member of the Asso- ciation, and one member who is not a member of the Association, shall be appointed by the Divisional Code Authority or its authorized representative, and it shall be empowered to investigate any suc- cessful bidder's bid to determine whether any provisions of this Code have been violated in such bid. Section 11. In the event such committee shall find the rules of fair competition have been violated, the violation shall be reported to the Divisional Code Authority for such action as it deems proper in accordance with this Code, including, in proper cases, with the approval of the Administrator, report to the Federal District Attorney or the Federal Trade Commission for appropriate action. Section 12. No member of this division shall make any secret payment, or allowance of rebates, refunds, commissions, or unearned discounts, whether in the form of money or otherwise; or extend to certain purchasers or clients, special services or privileges, not extended to all purchasers or clients under like terms and conditions. Section 13. No member of this division shall make, cause to be made, or publish, any material statement which is false or inaccurate concerning the work, prices, values, credit terms, policies or services of a competitor. Section 14. No member of the industry shall give, permit to be given, or directly offer to give, anything of value for the purpose of influencing or rewarding the actions of any employee, agent or representative of another in relation to the business of the employer 8 of such employee, the principal of such agent or the represented party, without the knowledge of such employer, principal or party. Commercial bribery provisions shall not be construed to prohibit free and general distribution of articles commonly used for Adver- tising except so far as such articles are actually used for commercial bribery as herein above defined. Section 15. No member of this division shall use any method to find out in advance of the opening of bids any details of a bid sub- mitted by any other member. Article VI — General Labor Provisions Section 1. Prison Labor. — Employers shall not employ prison labor in the execution of work. Section 2. Posting. — Within ten (10) days after the approval of this Code, all employers subject to its conditions shall post in a con- spicuous place in their offices or other established places of business complete copies of Chapter I — General Provisions for the Construction Industry and of this Chapter. Section 3. Standards for Safety and Health. — Every employer shall make reasonable provisions for the safety and health of his employees at the place and during the hours of their employment. Standards for safety and health shall be submitted by the Divisional Code Authority to the Administrator within sixty (60) days after the effective date of this Chapter. Section 4. Evasion Through Reemployment. — No employee now employed at a rate in excess of the minimum shall be discharged and reemployed at a lower rate for the purpose of evading the provisions of this Code. Section 5. Contracting Labor Services. — No member of this divi- sion shall directly or indirectly sublet to any employee or laborer, the labor services required by any contract secured by such member. In no case shall a member of this division avoid or evade the labor provisions of this Chapter by contracting his work to any person or persons subject to labor provisions less stringent than those provided in this Chapter. Section 6. Minimum Age. — No person under eighteen (18) years of age shall be employed in the industry. Section 7. Transportation. — All Cement Gun Contractors shall pay transportation charges and other expenses incurred by Nozzlemen already in their employ while traveling in pursuance to their em- ployment. Article VII — Payments Section 1. A Cement Gun Contractor shall demand and insist upon receiving payments as they may become due, in lawful money of the United States or its equivalent as provided by the contract. In no case shall a contract be accepted which specifies that payments will become due, as, if and when moneys are received from other sources. Section 2. Each contract must specify that interest shall accrue on all overdue payments at the legal rate, and in no case shaU this interest be rebated or any other concessions granted. Bona fide disputes concerning the amount due under a contract may be settled 9 or adjusted in order to avoid or discontinue litigation by granting a reasonable concession provided such concession is approved by the Divisional Code Authority. Section 3. Members of this division shall submit monthly to the Divisional Code Authority the names and addresses of all parties with whom they are transacting business, who have become delinquent in contract payments for a period of more than sixty (60) days. The Divisional Code Authority shall transmit this information within one week after its reception, to other members of this division in order to protect them against similar delinquencies. Section 4. No member of this division shall enter into contracts unless these contracts stipulate that, where final payment contains provisions pertaining to amounts of money retained for purposes other than for maintenance such retained moneys shall be paid to said member of the division within thirty (30) days after the acceptance of the \vork contracted for by said member of the division. Section 5. Membere of this division shall be ready and willing to settle disputed mattei-s promptly. Where arbitration as a method of settling disputed mattei-s is agreed upon, the rules of procedure as established by the American Arbitration Association shall govern, except as otherwise required by law or contract. Payment, exceeding that sufficient to cover the amount in dispute, shall not be withheld from the parties affected. Article VIII — Modification Subject to the provisions of Section 2 (b) of Ai'ticle IV, (b) of Chapter I of this Code, the pro\asions of this Chapter except as to provisions required by the Act, may be modified on the basis of expe- rience or changes in circumstances, such modifications to be based upon application to the Administrator and such notice and hearing as he shall specify, and to become effective on the approval of the President. Any such application may be made to the Divisional Code Authority. Article IX — Review of Acts of Code Authorities If the Administrator shall determine that any action of the Divi- sional Code Authority or any agency thereof may be unfair or unjust or contrary to the public interest, the Administrator may require that such action be suspended to afford an opportunity for investiga- tion of the merits of such action and further consideration by the Divisional Code Authority or agency pending final action which shall not be effective unless the Administrator approves or unless he shall fail to disapprove after tliirty (30) days' notice to him of intention to proceed with such action in its original or modified form. Article X — Effective Date This Code (Chapter I and tins Chapter) shall become effective in this division on the fourteenth (14th) day after the approval of this Chapter by the President. Approved Code No. 244, Supplement No. 4. Registry No. 1616-2-22. o MMivFRSlTY OF FLORIDA Illlllil 3 1262 08584 2275 4